Marco Polo Marine snaps US$15.5 mln shipment contract

The integrated marine logistics group will take charge of the shipment of coal from Sumatra, Indonesia to West Malaysia.

Marco Polo Marine Ltd on Monday has announced that its wholly-owned subsidiary, MP Shipping Co Pte Ltd, has secured a 2-year coal shipment contract worth about US$15.5 million, according to a report from Marco Polo Marine.

The coal shipment contract is secured with an Indonesia coal miner and will commence from September 2010. According to the release, the Group will undertake the shipment of coal from Sumatra in Indonesia to West Malaysia over a period of 2 years.

Mr Sean Lee, the CEO of Marco Polo Marine said, “We are pleased to participate in the export of coal from Indonesia through this US$15.5 million coal shipment contract. Malaysia relies heavily on imported coal for generating electricity and Indonesia supplies the bulk of this coal demand.”

Marco Polo Marine said despite the backdrop of high oil prices, the demand for coal in the South East Asian region is expected to remain firm. This is expected to turn in buoyant demand for tugs and barges to ferry coal continuously within the region. With its growing fleet of chartering vessels and a strategically located shipyard in Batam, Indonesia, the logistics group is able to capitalize on such business opportunities for growth.